NEW YORK ( TheStreet) -- Evercore Partners (NYSE: EVR) has been upgraded by TheStreet Ratings from hold to buy. Among the primary strengths of the company is its revenue growth. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself. Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 43.0%. Since the same quarter one year prior, revenues slightly increased by 9.2%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- EVERCORE PARTNERS INC has exprienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, EVERCORE PARTNERS INC reported lower earnings of $0.29 versus $0.41 in the prior year. This year, the market expects an improvement in earnings ($1.90 versus $0.29).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Capital Markets industry. The net income has significantly decreased by 120.0% when compared to the same quarter one year ago, falling from $3.29 million to -$0.66 million.
- The gross profit margin for EVERCORE PARTNERS INC is rather low; currently it is at 16.40%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -0.60% is significantly below that of the industry average.
- The share price of EVERCORE PARTNERS INC has not done very well: it is down 20.33% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. Despite the decline in its share price over the last year, this stock is still more expensive (when compared to its current earnings) than most other companies in its industry. We feel, however, that other strengths this company displays compensate for this.
-- Written by a member of TheStreet RatingsStaff